Construction services company, Siteserv, has bought utilities services provider, Sierra Communications, for €46m.
Of this consideration, €4.6m will be payable in shares, with additional amounts up to €6m payable based on the performance of Sierra over the next three years.
Sierra is a provider of services to the power, telecommunications and civil engineering markets in Ireland and operates four sites at Nangor Road, Dublin 12, Dunboyne, Co Meath, Ballyjamesduff, Co Cavan and Spierstown, Co Donegal.
In the year ended 30 June 2007, Sierra had turnover of €52.3m and earnings before interest and tax of €7m.
Brian Harvey, Siteserv CEO, said: 'The acquisition of Sierra fits within the Siteserv strategy to develop into a broadly based site services group and re-emphasises our plans to grow the company both organically and through acquisitions.'
The company said that following the acquisition, the residential business is expected to fall to approximately 35% of group revenues.
Siteserv is listed on the emerging market in Dublin IEX and the AIM in London.
